Key Industry

Industry Profile: Artificial Intelligence

The state of Michigan is emerging as a focal point for artificial intelligence (AI) companies and researchers seeking to advance their work. And the University Research Corridor (URC)—an academic alliance comprising Michigan State University, the University of Michigan and Wayne State University —plays a central role in propelling Michigan to the forefront of AI industry advancement and investment.

AI is game changing technology that is estimated to contribute upwards of $16 trillion to the global economy by 2030 – more than the current output of China and India combined. AI explores how to endow machines with the ability to learn, make decisions, reason about data and communicate with humans. It is a useful tool for repetitive, detail-oriented tasks and processing massive data sets to identify patterns and provide insights with speed. Michigan’s expertise and legacy in mobility and advanced manufacturing position the state as a prime destination for AI companies seeking to leverage machine learning, robotics and data analytics to drive efficiency and innovation for greater productivity, global competitiveness and inclusive prosperity.

Contact us

Email: info@urcmich.org

Phone: (517) 999-4007

Michigan and the United States have been and continue to navigate, plan and shape the development and use of responsible AI – a critical effort to ensure our industries are globally competitive and advancements serve people and communities. The U.S. Senate’s Roadmap for AI Policy outlines eight areas identified through nine bipartisan forums in 2023. These priority areas include using AI to support US innovation and workforce, address security from high impact uses, protect elections and democracy, privacy and liability, ensure transparency, explainability, IP and copyright and safeguard against potential risks. The URC universities are well positioned to enhance their support state and federal efforts to develop policies and programs to advance the development and appropriate uses of AI technologies.

The URC institutions boast world-class research facilities, renowned faculty members and a vibrant ecosystem of innovation and entrepreneurship. Through cutting-edge research initiatives, interdisciplinary collaborations and technology transfer programs, the URC member institutions drive advancements in AI technologies, as well as safeguard potential risks inherent in the development and use of this evolving technology, while also nurturing the next generation of AI talent. The URC serves as a catalyst for facilitating industry-academic partnerships, knowledge exchange, workforce development, and collaborative research projects that accelerate the translation of AI innovations into real-world applications.

How we are addressing sustainability for our industry partners and Michigan's economy:

Talent

Research

Trust & AI

Facilities & Resources

Accessibility

Healthcare

Partnerships

Commercialization

Policy & Incentives

Workforce

Exploring New AI Frontiers

Michigan’s Role in Shaping the Future

President Santa J. Ono

University of Michigan President Ono’s March Message Focuses on Generative Artificial Intelligence (AI)

Metrics

Top Talent

AdobeStock 716672380

Top Talent Highlights:

URC schools have one of the most robust and diverse Artificial Intelligence talent pipelines in the world. URC schools produced 1,394 graduates during the 2021-2022 school year with bachelor, masters, or doctoral degrees that could support the development of AI technology.2 3 4 5
MSU College of Engineering offers “AI Boot Camp,” a 24-week program for both workers and students to learn how to leverage AI and machine learning to automate, solve problems and drive results. The camp focuses on AI programming, machine learning and natural language processing fundamentals. 6
W the Warrior Chatbot is an AI tool created for Wayne State in partnership with Admit Hub  support students. W quickly provides information on registration, financial aid, accounts receivable, and student services and serves as an early warning system to enable on-demand support for students who may be struggling.
U-M leads in increasing diversity within the AI field. Female researchers at U-M work to eliminate biases and promote equitable representation in the emerginging field of AI. 7 8
MSU College of Natural Sciences has expanded AI training opportunities: In addition to a new MS in AI for the fall of 2025, students in other disciplines will have the opportunity to earn a Data Science/AI certificate applicable to their own program. 9

2 Majors included in this calculation include: computer engineering; electrical and electronic engineering; applied mathematics; computational mathematics; mathematics; mathematical statistics and probability; linguistics; robotics technology/technician; Computer Engineering StTechnologies/Technicians, Other; Computer/Computer Systems Technology/Technician.

3Source: nces.ed.gov

4Source: nces.ed.gov

5Source: nces.ed.gov

6Source: bootcamp.msu.edu

7Source: wxyz.com

8Source: ai.engin.umich.edu

9Source: Summary of MSU College of Natural Science initiatives.

Impactful Research

Two men working at a desk, analyzing data visualizations on a computer monitor and writing code on a laptop. One points to the screen displaying a cluster of yellow data points.

Impactful Research Highlights:

Together the URC universities conducted more than $369 million in AI-related research over the last five years. Of note, the level of AI-related R&D conducted at our universities increased each year during this period (2018-2022). 10
URC schools ranked in the top 100 U.S. universities for faculty computer science publications at the most selective computer science conferences by CSrankings.com.11

The AI Lab at U-M is comprised of a multidisciplinary group of researchers conducting theoretical, experimental and applied investigations of. It leads to the valuable exchange of ideas within and across research groups throughout the university.12

Wayne AI Group is a team of scientists and engineers with diverse research interests spanning a broad range of contemporary AI frontiers. The group collaborates to problem solve research in AI and are dedicated to education and AI training of the next-generation workforce. 13

The OPtimization and Trustworthy Machine Learning (OPTML) group is a research group at MSU with the long-term research objective to make AI systems scalable and trustworthy. The group’s interests span machine learning (ML)/ deep learning (DL), optimization, computer vision, security, signal processing and data science and focus on developing learning algorithms and theory, as well as robust and explainable artificial intelligence (AI).14

10Source: URC analysis of external awards data from 2018-2022. May 16, 2024.

11Source: csrankings.org

12Source: ai.engin.umich.eduu

13Source: ai.wayne.edu

14Source: optml-group

Trust & AI

A woman in a business suit, thoughtfully looking at a tablet in a well-lit, modern office space. The background is blurred, highlighting her focus on the device.

Trust & AI​ Highlights:

Wayne State’s Trustworthy AI Lab focuses on exploring problems with machine learning. Led by Professor Dongxiao Zhu, the group focuses on issues of fairness, security and privacy, and explainability in models they create.15
MSU scholars received a grant to develop a pilot curriculum for undergraduate students to examine their attitudes towards generative AI. Students will be taught the career benefits of AI along with some of its limitations and risks.16
U-M’s Michigan Institute for Data Science is mobilizing researchers to promote ethical data science and AI through research discussions and public events.17
MSU’s Omura-Saxena endowed professorship focuses on responsible AI. Created through a gift from the Saxena Family Foundation, Professor Anjana Susarla’s research explores the topics of responsible AI and AI ethics. 18 19

15Source: sites.google.com

16Source: education.msu.edu

17Source: midas.umich.edu

18Source: msutoday.msu.edu

19Source: broad.msu.edu

Facilities & Resources

A woman in a server room working on a laptop, surrounded by racks of computer servers. She is dressed in business attire and is illuminated by the blue light from the equipment.

Facilities & Resources​ Highlights:

In 2023, U-M became the first institute of higher learning in the world to release a customized suite of generative AI tools. U-M GPT is a GPT-4 model, which allows it to generate code, teach or explain complex topics. U-M GPT is also designed to keep the users’ information private. The second tool, U-M Maizey, can be trained on custom data sets to create personalized bots. The university also offers U-M GPT Toolkit, which provides advanced AI designers a platform to construct, train and host AI models securely and at scale.20 U-M also offers 24/7 AI tutors and drives student and faculty-led experimentation.
MSU’s Facility for Rare Isotope Beams (FRIB) will develop artificial intelligence tools to enhance discovery, technology and training. Investment from the Department of Energy’s Office of Science will allow FRIB to train machine learning algorithms on how to identify well-defined isotopes and systems, helping predict characteristics of isotopes and systems that have not been identified yet.21
Wayne State’s AI, Big Data & Analytics Group is a university resource for researchers, students and industry focused on solving real-life business problems in active university-industry collaboration. Leveraging core strengths and research interests of a large and highly interdisplinary team, the group offers training in various types of AI and helps companies and organizations get the most out of their datasets. 22

20Source: michigandaily.com

21Source: msutoday.msu.edu

22Source: bigdata.wayne.edu

Metrics — Continued

Accessibility

AdobeStock 844567725

Accessibility Highlights:

Nicknamed MicroBoost, a Wayne State research team is working to accelerate user-inspired solutions for persons with disabilities living in Metro Detroit. With support from an NSF Grant, MicroBoost seeks to develop and implement human-centered AI to help people with disabilities have better availability and access to micro transit. The project’s goal is to increase the level of independence that people with disabilities are able to have via increased access to transit services.23
Helping people who stutter, MSU researchers are working to make voice activated AI technology more accessible. The first phase of this two-phase NSF-funded project focused on identifying pain points while using voice activated AI. The second phase focuses on the creation of accessibility standards, a “test bed” for other developers to understand how their speech recognition technology works with people who stutter and the HeardAI app, which will provide solutions for people using voice AI systems.24
U-M’s Human Centered AI Lab is developing tools at the intersection of human-computer interaction and AI to create interactive systems for accessibility and collaboration. Projects include the release of VizLens, an appliance reader for users with visual impairments.25 26

23Source: research.wayne.edu

24Source: engagedscholar.msu.edu

25Source: vizlens.org

26Source: hcc.engin.umich.edu

Health Care

Brainstorming, presentation and medical with black woman in meeting for research, teamwork and strategy with sticky note board. Healthcare, planning and idea with doctors for goals, medicine and data

Health Care Highlights:

MSU researchers are working with colleagues from U-M to make MRIs smarter by using machine learing to improve imaging and reduce errors.27
Wayne State researchers received a National Institute of Nursing Research grant to explore the effectiveness of using AI to provide Motivational Interviewing to treat obesity. The group will study how AI can replace human counselors in weight-loss treatment.28
U-M has developed a multimodal AI model that may guide personalized treatments for tuberculosis. Using data from the clinical trials, genomics, medical imaging and drug prescriptions of tuberculosis patients, U-M researchers were able to identify features that would indicate treatment failure.29

Wayne State’s Stress, Trauma & Anxiety Research Clinic is using advanced wireless augmented reality-enhanced exposure therapy for post-traumatic stress disorder (PTSD) research. Investment from the Department of Defense will allow researchers to enhance augmented reality technology used for exposure therapy in the treatment of veterans with PTSD.

27Source: sites.google.com

28Source: taggs.hhs.gov

29Source: medicalxpress.com

Partnerships

A diverse group of business professionals joyfully clapping during a seminar. The focus is on an African American woman in the center, smiling broadly and applauding, dressed in a light blue blazer and holding a white notebook. She is surrounded by colleagues who are also engaged and clapping, with large windows allowing natural light to fill the room.

Partnerships Highlights:

U-M partners with U.S. Department of Energy’s Los Alamos National Laboratory to to develop advanced computing technologies—including artificial intelligence and increasingly sophisticated modeling techniques—to address critical challenges.30
Wayne State researchers have been working closely with multiple departments of the city of Detroit to design, implement and deploy novel AI technology to promote and support the works in public transit, public safety, and public health.31

MSU researchers are helping to train AI to better process text, video and image inputs for the Office of Naval Research.32

Supported by a NASA training grant, Michigan’s Space Grant Consortium at U-M funds research projects across the state in areas relevant to the strategic interests of NASA, including in mobility, AI and sustainability, for undergraduate and graduate students and postdoctoral fellows at WSU, MSU and universities across Michigan.33 For an example, check out this project at Wayne State: https://www.youtube.com/watch?v=au77kdft-7E      

30Source: news.umich.edu

31Source: Trustworthy AI research group at Wayne State University, 2024.

32Source: msutoday.msu.edu

33Source: mispacegrant.org

Successful Commercialization

URC Five -Year Averages (2018-2022)

314

Total Licenses / Options

$25.9M

Total Revenue

28

Total Startups

253

Total Patents Granted

699

Total Invention Disclosures

Successful Commercialization Highlights:

Michigan University Innovation Capital Fund (MUICF) and the Michigan University Innovation Capital Consortium, funded by the Michigan Economic Development Corporation (MEDC) and administered by U-M’s Innovation Partnerships, is a partnership of the URC universities (MSU, U-M and Wayne State) and the MSU Research Foundation, Western Michigan University and Michigan Technological University. The MUICF and Capital Consortium will solidify the state’s university research commercialization ecosystem and drive economic development statewide by supporting the growth of university startups from Michigan’s public universities.34
Michigan Translational Research and Commercialization (MTRAC) Advanced Computing Technologies Innovation Hub at Wayne State is funded by the Michigan Economic Development Corporation (MEDC) and Michigan Strategic Fund (MSF). It supports applied research and commercialization efforts across a range of advanced computing disciplines, including artificial intelligence, machine learning, natural language processing and robotic processes, and fast tracks technologies and innovations from labs at universities and nonprofits across the state into the market.35
The Accelerate Blue Fund (ABF) at U-M is an early-stage venture fund investing in U-M licensed startups. In fiscal year 2023, ABF invested in 9 new portfolio companies, bringing the portfolio to 14 U-M startups and $15.1M under management. ABF invests in companies like Judy Security, an AI-powered cyber security solution for small and medium sized businesses and Geminus, which uses AI to create predictive physics models based on real-time data and simulations.36 37

MSU Research Foundation, through its early-stage venture investment organization Red Cedar Ventures, supports high-tech startups at MSU and beyond. Since 2014, RCV has deployed nearly $30 million in funds, attracted $1 billion in co-investment, and resulted in 159 active companies and 22 exits. RCV has invested in Michigan-based companies like Kall Morris Inc., a federally funded orbital research and solution development company that uses proprietary machine vision software to identify, retrieve, tag and relocate hazardous space debris.

New discoveries have led to technologies suitable for commercialization and are, or have been, moved from the lab to the market.

  • Motion Grazer AI, a Michigan-based AgTech company and MSU spinout company, is dedicated to improving the health and welfare of farm animals using a SIMKit device designed to monitor livestock and offer tailored management strategies.
  • Decimal Code, a Michigan-based U-M spinout company, is commercializing technology developed by researchers at U-M and in partnership a collaborative of over 60 participating hospitals ranging from large academic centers to small community hospitals, automates medical CPT code using AI to dramatically reduces billing errors.
  • And Wayne State researchers have developed FE@ST (Factory Execution @ Speed of Thought), an AI-enabled, automated process-mining platform for machine and production performance optimization that is accessible, reduces implementation costs, can predict potential machine breakdown and pinpoint the source.


AI will likely have a similar impact as the Internet on our lives, work and world. All the efforts our universities are making to develop trustworthy AI technologies and use. We have a responsibility to communicate to our stakeholders what we know about AI and what we are doing to ensure its use is available, transparent, fair and accessible to our students, staff and faculty, as well as our communities, partners and state.

As U-M President Ono says in a March 2024 video message, we endeavor to lead not only in innovation and technology development, but also in ethics and integrity to ensure AI and Generative AI are infused with the best traditions and values of our institutions and Michigan.

34Source: record.umich.edu

35Source: techtransfer.wayne.edu

36Source: geminus.ai

37Source: judysecurity.ai

Rationale

The State of Michigan is a Leader in Artificial Intelligence

Michigan stands at the forefront of artificial intelligence, driving innovation through its dynamic ecosystem. The state champions AI integration across key sectors, from automotive to healthcare, underpinned by pioneering legislation and robust technological infrastructures. With a rich pool of engineering talent and cutting-edge research facilities, including partnerships with major universities, Michigan is crafting the future of AI—enhancing industries, empowering communities, and leading with vision and determination. Here, AI isn’t just a tool; it’s the pathway to a thriving, competitive future.

Michigan has long been a leader in manufacturing innovation as the center of the American automotive industry. Michigan continues to set the pace as the traditional auto industry evolves into a comprehensive mobility industry leveraging connected technology and evolving consumer behaviors.38
  • 2013: Michigan became just the fourth state in the nation to authorize the testing of autonomous vehicles on public roads.39
  • 2016: State leaders expanded testing opportunities and supported autonomous vehicle research and development in Michigan through the creation of the Michigan Council on Future Mobility.
  • 2022: Michigan enacted the nation’s first automated vehicle roadway authorization law to facilitate the development and deployment of connected and autonomous vehicles (CAVs) across the state. A CAV is a vehicle that employs AI technology to communicate with the road and associated infrastructure to map an optimal route and respond to dynamic data like traffic congestion.40
  • 2023: Michigan became the first state in the country to deploy AI firearm detection technology to protect the state capitol from gun violence and enacted new legislation regarding the use of AI in campaign advertisements.41 42

38Source: cargroup.org

39Source: legislature.mi.gov

40Source: legislature.mi.gov

41Source: thehill.com

42Source: news.bloomberglaw.com

Michigan’s leadership in AI is not limited to the auto industry. AI has the potential to positively impact health care, agriculture, advanced manufacturing, education, entertainment and finance. Furthermore, AI technologies will likely augment our work, not replace workers in these key Michigan industries. Embracing responsible AI in ethical and creative ways will enhance our work and grow our competitiveness.

  • The second largest concentration of engineering talent and the most industrial and commercial designers in the U.S. are located in the greater Detroit region.
  • Michigan is home to the fifth largest advanced manufacturing workforce in the nation.
  • The Michigan Economic Development Corporation (MEDC) is actively supporting the advanced manufacturing ecosystem through competitive funding for start-ups and small manufacturers to deploy advanced manufacturing technologies like AI and automation to scale up via its Industry 4.0 Technology Implementation Grants.
  • Michigan Virtual, a private nonprofit organization, launched a “one of a kind” research lab in 2023 dedicated to studying AI usage in K-12 education to better understand the technolgy and to design the model for successfully integrating AI into education systems for the next generation of high-tech workers.

43Source: detroitregionalpartnership.com

44Source: michiganbusiness.org

45Source: michiganbusiness.org

46Source: michiganvirtual.org

Michigan’s AI leadership positions the state at the forefront of global competitiveness and inclusive prosperity.

Two men working at a desk, analyzing data visualizations on a computer monitor and writing code on a laptop. One points to the screen displaying a cluster of yellow data points.

Working Together

For Michigan’s furture

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Michigan’s University Research Corridor (URC) is a leading national academic research cluster: fostering talent, academic research and economic revitalization in the state.

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